|
According to Reuters, Japan’s automotive industry has witnessed a decline in both production and export value for the first time this year. Specifically, the total value of car exports to the US has dropped by 24.7%, with a 19% decrease in auto parts exports. However, the volume of cars exported to the US from Japan has only seen a slight decline of 3.9% during the same period.
While the value of car exports to the US has decreased, the volume has not seen a significant drop. This indicates that Japanese manufacturers are bearing the cost of tariffs without passing on the burden to their customers,” said Koki Akimoto, an economist at the Daiwa Research Institute.
Currently, major Japanese automakers, except for Mitsubishi and Subaru, are maintaining their vehicle prices in the US. This is negatively impacting their financial situation. However, they are trying to wait out the upcoming trade negotiations to improve the situation without causing inconvenience to their customers.
Toyota, the world’s best-selling automotive manufacturer, estimates that the increased tariffs from the US have resulted in a profit loss of 180 billion Yen, equivalent to over 965,000 USD.
It’s not just Japan that is feeling the impact of tariffs imposed by President Donald Trump. Since 2020, China has also experienced a significant decline in its export value to the US, plummeting by 34.5%, making it the steepest drop during Trump’s presidency.
These figures highlight the significant impact of the tariff measures imposed by the Trump administration on international markets.
Engaging Reads for Your Journey
The Automotive section presents an intriguing selection of books to accompany you on your travels. During those restful moments on your journey, allow these books to captivate and enrich your experiences.
Toyota and Lexus Announce Price Increases for July in the US Market
The Toyota leadership in the US refutes the notion that tariffs are the reason for the price hike.
The Electric Future: Volkswagen’s Strategic Investment in the US to Navigate Tariffs
The Volkswagen boss has unveiled ambitious investment plans in the US, in a bid to negotiate favorable terms on tariffs.
Affordable Volvo Cars: ‘Out of Reach’, Unlikely to Return to the US Due to High Tariffs
Despite relocating its manufacturing base from China to Europe, Volvo remains subject to the import tariffs imposed by the Donald Trump administration.
The Industries Hit Hardest by Tariff Retaliation
The trade tariffs imposed between the US, Canada, Mexico, and China impact hundreds of billions of dollars’ worth of goods, particularly in key industries such as automotive, metals, and agriculture.
The Toy Car Tariff Twist: When Playtime Prices Surge
The iconic Hot Wheels toy cars may soon see a hike in their price tags as President Trump threatens to impose a 100% tariff on their parent company, Mattel. With the potential for a significant increase in production costs, collectors and fans of the tiny vehicles may need to brace themselves for a bumpier ride ahead.
